On January 1, Evanston Corporation purchased 40% of the outstanding common stock of the Straw Corporation for $275,000. During the year, Straw Corporation reported net income of $100,000 and paid cash dividends of $50,000.
The balance of the Investment in the Straw Corporation account on the books of Evanston Corporation at year-end is:
$220,000
$270,000
$200,000
$295,000